Mcbride Ritz Carlton Washington Dc

2935 Words12 Pages
The Ritz Carlton Hotel Company

On October 11, 2000 The Ritz-Carlton was on the eve of opening Washington DC’s first luxury hotel in 10 years. The 300 room hotel was part of a $225 million complex owned by Millennium Partners. This would be the first hotel opened of a six hotel deal between Millennium Partners and The Ritz-Carlton. Millennium Partners owned the properties and The Ritz-Carlton was hired to operate the hotels. After only seven days of training the 400 person staff would open the doors the next morning.

James McBride, the general manager, faced pressures concerning the training approach The Ritz-Carlton had established. Millennium had two primary problems with the seven day training process. First, they felt seven days
…show more content…
As a result The Ritz-Carlton has one of the highest rates of employee retention in the industry, with only an average 20% turnover rate. Their philosophy is that people deserve the right to work for a purpose. This purpose keeps the employees engaged in their work and makes achieving success a priority. Employee satisfaction is a priority and focus which improves employee morale (a happy employee is a productive employee). According to the service profit chain relationship, satisfied employees lead to employee loyalty which eventually leads to loyal customers and profitability.

Both customers are better served by retaining the current training process. It keeps costs low, employee morale high, and has a proven track record of success for the employee, customer, and hotel. The Seven Day Countdown should not be considered as a lone entity when evaluating the readiness and effectiveness of the hotel staff. This is just part of an overall strategy that includes thousands of hours of training, human resources, culture, and quality. The Ritz-Carlton is known as a service industry leader and innovator. This was accomplished by having a standardized and consistent methodology of developing their greatest resource – its people.

Exhibit A: The Ritz-Carlton Four Seasons

Hotels Rooms per year 300 x 365 = 109,500 300 x 365 = 109,500 Occupancy (rate x rooms) .754 x 109,500 = 82,563 .70 x 109,500

More about Mcbride Ritz Carlton Washington Dc

Get Access